IMPACT OF THE EVENT 9/11 ON PAKISTAN’S DOMESTIC POLITICS AND PAKISTAN’S ECONOMY

Dated:29-04-2010

Executive Summary

After 9/11 the challenges and allegations of supporting the militants imposed great affects on the security of the Pakistan. From welfare state Pakistan transformed into a security concern state which caused our military to mobilize. Post US and foreign aid caused the Economy to survive temporarily but it was only for temporary and end day situation was worst then day one. On political front the collaboration between Pakistan and NATO solidified internationally. Whereas on local side general public was against Pakistan involvement of Pakistan in this so called Americans war on terror. Musharraf departure was also due to this war.

Table of Contents

Introduction41.Impact on Political Scenario51.1 Pakistan as Front Line State in War on Terror51.2 Joined War on Terror51.3 Rise of Political-Religious Parties in Pakistan51.4 Formation of MMA61.5 Emergence of MMA as Main Party in October 2008 Elections61.6 Reaction of Government Policies61.7 Rise of political Islam and Terrorism (Domestic Impact)61.8 Rise of political Islam and Terrorism (International Impact)71.9 Musharraf as Center71.10 Status of Constitution and Parliament71.11 Kashmir and Palestine Cause72.Financial Situation post 9/1182.1 The financially uncertainty82.2 Foreign aid82.3 Effect on KSE-100 Index82.4 Final Impact93.References10

Introduction

On September 11, 2001, with the collapse of the World Trade Center, U.S had started the war named as war against Terrorism. U.S. President George Bush termed it as an act of terrorism and threatened strong action against the people who had carried out those attacks. It was the Al-Qaida and Osama bin Laden who were eventually held responsible for those attacks. Today it’s 2010 and an end to this war in near future is not in sight. Terrorism, extremism, violence and instability in Pakistan and Afghanistan have touched the record level. The US and its allies have miserably failed in Afghanistan and have suffered huge economic and military setbacks in this war. The US administration is losing this war because of their flawed policies. More than 2500 US soldiers have lost their lives in Afghanistan, and on the other hand the US has spent billions of dollars on the war against terrorism. But still they are unable to achieve any considerable success in Afghanistan. Situation in most parts of Afghanistan is out of the US control. Taliban are gaining strength. Situation in tribal areas of Pakistan is also getting worst. Drone attacks by the US have resulted in strong backlash from local population. As a result of all these facts, suicide bombing in Pakistan has suffered huge civilian and military casualties.

1. Impact on Political Scenario

1.1 Pakistan as Front Line State in War on TerrorThe events of September 9/11, 2001 changed the global political scenario radically. The U.S. traced the terrorist outrages in New York and Washington to the Al-Qaeda and the Taliban regime in Afghanistan. As a result, the U.S. declared war against international terrorism, targeting Afghanistan, for which Pakistan‘s support was imperative.

The U.S. political and military campaign against global terrorism also reshaped an alliance system in South Asia, where Pakistan once again emerged as a frontline state in a war in Afghanistan. In this situation, Pakistan had only two options: either to support the U.S. in its war on terror to go with the Taliban. Taking high risks at domestic and regional fonts, Pakistan opted for the first option, and extended its support to the U.S.

The cooperation with the U.S. also required withdrawing support to the Taliban and start crackdown on the militant Jihadi.

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